Dell Computer Corporation

Naturally, it was singled out for criticism by the entire industry and the government. IBM also attracted anti-trust legislation as a result. IBM lost out once the Personal Computer industry began to boom. It found that the old paradigm of closed proprietary systems applicable to the mainframe business was not relevant to PCs. Reasons for decline of IBM in the late 80's and early 90's: · IBM's earlier investments were yet to pay dividends and the future investments planned were high.

A major reason for small business failure to bolster the economy is a result of their inability to raise capital due to the decimation of the Small Business Administration's loans program ( Harpers Magazine, July 2014, V309 il 850 p79(2)). It appears that the very fuel that normally would stoke the economic furnace has been diluted through cost cutting measure as a result of a floundering economy. Such challenges will test the creativity and viability of small business. Unfortunately, that creativity can be overwhelmed with the legislative regulations imposed by the local, state and... ... middle of paper ... ...wamped by flood of regs [Electronic version]. The Business Journal, 13(46), 29.

On the laptop market, which Dell was committed to re-enter due to its growing customer base, there were a number of technological problems. Dell had hired John Medica, lead developer of Apple computer’s Powerbook line, and according to him, only one of the laptops being developed would be able to compete on the market. However, it would take some time before it was fully developed, so Dell had to reject their customer’s demand for laptops. In doing so, Dell made the customers understand that it would not take forever. Dell’s way to approach the fact that the company was not able to fulfil the customers wishes, was through honesty.

U.S. industries do not have a way of coming up with new ideas for the next generation of high-tech products... ... middle of paper ... ...tly governing its scientific and technological company successfully to gain a competitive advantage. These recommendations will help U.S. businesses to rebuild the competitive advantage they once had. This article revealed how outsourcing manufacturing damaged U.S. industries’ competitiveness and innovative abilities. There were several problems that affected the U.S. economy, like the decline of trade, lack of research and development funding, and poor managerial decisions. Several government and businesses’ recommendations were made to restore U.S. industries’ competitiveness and innovative capabilities.

His strategy was to sell directly to end users; by eliminating the retail markup, Dell's new company was able to sell IBM clones at about 40 percent below the price of an IBM PC. The price discounting strategy was successful, attracting price-conscious buyers and producing rapid growth. By 1985, the company was assembling its own PC designs with a few people. The company had 40 employees, and Michael Dell worked 18-hour days. By the end of fiscal 1986, sales had reached $33 million.

He described the paradox as a situation where America’s service sector holds about 85 % of the country’s information t... ... middle of paper ... ...mes computer just need to upgrade the software just to keep updated with the industry trends. Technology has also has negative impact on customers. Although information technologies did not gave appropriate positive results earlier in 1980’s the new information technologies adopted in 1990’s changed the competitive strategy of the manufacturing firms. Theories have said this before but lack of data cannot prove it. Most researchers investigating the return of IT investments mainly focused on productivity though well they are aware that they are likely to be underestimating the total returns of IT investments.

Organizational Cultural Changes that occur within an organization do not occur on its own. Organizational change entails detailed management and planning. Organizational change does not occur overnight and resistance within the employees is inevitable. Having organized management who is prepared to provide leadership is imperative in providing solutions to the issues of resistance. Although resistance to change is inevitable, an organization must experience change in order to sustain changes, whether economical, technological, or financial.

Strong competition is the biggest reason for tiny profit margins in this industry. Both companies use strategy that they think is the right for the given moment. We will analyze strategic moves that both companies made recently or are still making. Overview of HP’s strategy For a few years HP tried to make strategic changes that will reposition the company on the market and give driving force to keep distance between them and competitors. Until 2011 when Meg Whitman took CEO role, HP struggled with problems such as too many employees, spiraling debt, poorly executed and expensive acquisitions and declines in every one of its lines of business.

Whereas, IBM could gain only 9% and HP lost the Demand Strength by 16%. This completely means that Dell governs the market of computers in US and is trying to come up in the league in the other product categories as well. Dell’s main marketing strategy is customer segmentation that also includes product segmentation in which Dell targets individual market segments and design products according to individual needs of the customers. Looking at this geographically, Dell has set its grounds in US, EMEA and APJ where there are different marketing and pricing strategies. From the demographic view point there is no gender, race, age bias that particularly Dell has, but depends upon on the education, occupation and income of the people buying various products decides further the selling and purchasing behavior.

The Soul of Dell was developed the following September and communicated to Dell employees in March of 2002. The communication of these principles was poorly executed and resulted in a lack of understanding and commitment to these new company values. This paper will present an analysis on The Soul of Dell case study and present a solution for the above stated situation. A copy of my letter addressed to Ms. Elizabeth Allen, the Vice President of Corporate Communications at Dell Computer Corporation, providing advice on the issue is included in Appendix A. Ethical Standards and Management Communication An Economic Point of View Many companies fail to achieve ethical business practice due to increased levels of global competition, financial pressures, lack of communication throughout the organization, and the absence of moral leadership at top levels (O’Rourke, 2010).